The Australian wool market has performed strongly this week with all sectors recording positive movements. The national offering fell to 18,828 bales. Due to the lack of quantity Sydney and Fremantle only required one day of selling. Melbourne and Sydney opened proceedings on the first selling day and from the opening lot it was apparent that buyer sentiment was greatly improved. This stronger sentiment resulted in price increases across all merino fleece types and descriptions.
The individual Micron Price Guides (MPGs) rose by 3 to 32 cents. On the back of these rises, the AWEX Eastern Market Indicator (EMI) gained 17 cents for the day, climbing to 1,172 cents. On the second selling day, it was Melbourne and Fremantle in operation. Melbourne recorded minimal movements for the day, the MPGs all traded within 6 cents of the previous day, the EMI dropped 2 cents. Fremantle enjoyed the gains experienced in the other centres on the previous day, pushing the Western MPGs up by 29 to 38 cents.
The EMI rose by 15 cents for the series, closing at 1,170 cents, an increase of just over 1%. Due to a strengthening Australian dollar the increase in USD terms was higher, a 21 US cent increase, which equated to a 2.7% rise.
Many sellers were keen to accept the higher prices, resulting in a passed in rate of only 7.9%, this was 4.7% lower than the rate of the previous week. The crossbred sector also lifted, the main rises were in the 26.0 to 28.0 micron range, the MPGs for these wools rose by 9 to 20 cents. The oddments recorded healthy gains for the second successive week. Locks, stains and crutchings generally rose by 20 to 40 cents.
The Fremantle region does not have a sale next week, with only Melbourne and Sydney selling, the national offering reduces to 17,136 bales.